Section 1 Short title
This Act may be cited as the “Segal AmeriCorps Educational Award Tax Relief Act of 2026”.
Segal AmeriCorps Educational Award Tax Relief Act of 2026
A BILL
To amend the Internal Revenue Code of 1986 to provide an exclusion from gross income for AmeriCorps educational awards.
Sec. 2 Exclusion from gross income of AmeriCorps educational awards
In general— Section 117(c)(2) of the Internal Revenue Code of 1986 is amended by striking “or” at the end of subparagraph (B), by striking the period at the end of subparagraph (C) and inserting “, or”, and by adding at the end the following new subparagraph:
“(D) a national service educational award under subtitle D of title I of the National and Community Service Act of 1990.”
Discharge of student loan debt— Section 108(f) of such Code is amended by adding at the end the following new paragraph:
“(6) Payments under national service educational awards—In the case of an individual, gross income shall not include any amount received under a national service educational award under subtitle D of title I of the National and Community Service Act of 1990.”
Effective dates—
In general— The amendments made by subsection (a) shall apply to amounts received in taxable years ending after the date of the enactment of this Act.
Discharge of student loan debt— The amendment made by subsection (b) shall apply to discharges of indebtedness in taxable years ending after the date of the enactment of this Act.